Correlation Between Niutech Environment and Fujian Longzhou
Specify exactly 2 symbols:
By analyzing existing cross correlation between Niutech Environment Technology and Fujian Longzhou Transportation, you can compare the effects of market volatilities on Niutech Environment and Fujian Longzhou and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Niutech Environment with a short position of Fujian Longzhou. Check out your portfolio center. Please also check ongoing floating volatility patterns of Niutech Environment and Fujian Longzhou.
Diversification Opportunities for Niutech Environment and Fujian Longzhou
0.73 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Niutech and Fujian is 0.73. Overlapping area represents the amount of risk that can be diversified away by holding Niutech Environment Technology and Fujian Longzhou Transportation in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Fujian Longzhou Tran and Niutech Environment is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Niutech Environment Technology are associated (or correlated) with Fujian Longzhou. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Fujian Longzhou Tran has no effect on the direction of Niutech Environment i.e., Niutech Environment and Fujian Longzhou go up and down completely randomly.
Pair Corralation between Niutech Environment and Fujian Longzhou
Assuming the 90 days trading horizon Niutech Environment is expected to generate 1.22 times less return on investment than Fujian Longzhou. But when comparing it to its historical volatility, Niutech Environment Technology is 1.09 times less risky than Fujian Longzhou. It trades about 0.09 of its potential returns per unit of risk. Fujian Longzhou Transportation is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 366.00 in Fujian Longzhou Transportation on September 25, 2024 and sell it today you would earn a total of 87.00 from holding Fujian Longzhou Transportation or generate 23.77% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Niutech Environment Technology vs. Fujian Longzhou Transportation
Performance |
Timeline |
Niutech Environment |
Fujian Longzhou Tran |
Niutech Environment and Fujian Longzhou Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Niutech Environment and Fujian Longzhou
The main advantage of trading using opposite Niutech Environment and Fujian Longzhou positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Niutech Environment position performs unexpectedly, Fujian Longzhou can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Fujian Longzhou will offset losses from the drop in Fujian Longzhou's long position.Niutech Environment vs. Shenzhen MYS Environmental | Niutech Environment vs. AVIC Fund Management | Niutech Environment vs. Shenzhen Bingchuan Network | Niutech Environment vs. Penghua Shenzhen Energy |
Fujian Longzhou vs. Xiamen Bank Co | Fujian Longzhou vs. Northking Information Technology | Fujian Longzhou vs. Niutech Environment Technology | Fujian Longzhou vs. Western Superconducting Tech |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Other Complementary Tools
Fundamental Analysis View fundamental data based on most recent published financial statements | |
Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |